Jim Cramer’s Latest Thoughts On Cisco, NVIDIA & Other AI Stocks: Top 5 Stocks

2. Amazon.com, Inc. (NASDAQ:AMZN)

Number of Hedge Fund Holdings in Q4 2025: 381

Amazon.com, Inc. (NASDAQ:AMZN)’s shares are up by 28.7% over the past year and by 16.6% year-to-date. The firm made quite a splash earlier this month when it announced a new supply chain initiative. Cramer discussed the announcement in detail and remarked that if firms like Procter & Gamble, which run some of the best supply chains in the world, are attracted by Amazon.com, Inc. (NASDAQ:AMZN)’s service, then the service must be good. Bank of America also discussed the announcement on May 4th and shared a different take on the supply chain service. It remarked that Amazon.com, Inc. (NASDAQ:AMZN)’s new service could also help the retailer improve its utilization of fixed assets. Cramer discussed the firm’s delivery timelines and its CEO:

“I am so impressed with Walmart same day, I mean everybody is, but Amazon, I’m talking about a same couple of hours.

“I’m a huge Jassy buyer, been a buyer, I’m like, early on, maybe even earlier than Jassy.

“You know Amazon’s, a lot of what he would say, Andy Jassy would say, Jim how could you not say our business in semiconductors is not thriving? We got a 50 billion dollar business, standalone, which is obviously not standalone. I think this is an inexpensive stock, versus what’s coming public today. I think it’s great.”

“These guys, you go out to see Amazon, and they don’t want the phony narrative that people don’t like. What they do want is to recognize that they’re not banning small and medium sized business. And that they are worldwide, and that they do care about rural and that the satellite business that they have can compete, it can compete with Musk!”

Baron Durable Advantage Fund discussed Amazon.com, Inc. (NASDAQ:AMZN) in its Q1 2026 investor letter:

“Amazon.com, Inc. (NASDAQ:AMZN) is the world’s largest retailer and cloud services provider. Shares declined 9.8% during the quarter after the company guided to $200 billion in fiscal year 2026 capital expenditures, above Street expectations. While we believe AWS revenue growth will accelerate meaningfully over the next two years, particularly as leading AI companies increase AWS usage, investors are concerned about the impact of sizable incremental investments on near-term profitability. Nevertheless, the company continues to expand operating margins across core North American retail, AWS, and international retail, driven by improved cost discipline and operational efficiencies. Over the longer term, Amazon has substantial room for growth in e-commerce, where it has less than 15% penetration of its total addressable market. Amazon also remains the clear leader in the large and growing cloud infrastructure market, with significant opportunities in application software, including enabling generative AI workloads while its full-stack approach, spanning silicon, systems, software, and developer ecosystem, and hence its competitive moat continues to widen. …” (Click here to read the full text)